Common Insurance Terms Copy

Insured — Someone protected, or covered, by an insurance policy

Policyowner — Someone who owns, and has control of, an insurance policy; the policyowner can also be an insured under the policy

Insurer — The insurance company that issues (sells) an insurance policy; also known as the carrier or principal

First Party — The insured

Second Party — The insurer

Third Party — Someone other than the insured or the insurer

Premium — The amount of money the insurer charges the policyowner for an insurance policy